November 26, 2019 Agenda Infor ormation mation updat dates es - - PowerPoint PPT Presentation
Employer Update November 26, 2019 Agenda Infor ormation mation updat dates es Focus cus on ser ervic vice Growth at the CAAT Pension Revised Pension Benefit Plan Application forms 2020 DCT schedule Year-end
Employer Update November 26, 2019
Agenda
▪ Infor
mation updat dates es
▪ Growth at the CAAT Pension Plan ▪ 2020 DCT schedule ▪ 2020 Rates ▪ Employer attestation ▪ Employer and member survey results
▪ Focus cus on ser ervic vice
▪ Revised Pension Benefit Application forms ▪ Year-end processing deadlines ▪ 2020 Employer Training Schedule ▪ Upcoming events ▪ Service standards
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Growth at the CAAT Pension Plan
New Employers joining CAAT
▪ We have had 7 new employers join the Plan this year:
▪ SHARE ▪ OPSEU Local 416 ▪ London Cross Cultural Learner Centre ▪ Postmedia ▪ The Canadian Press ▪ University of Saskatchewan ▪ Klos Concepts Inc.
Uni United d Way of Grea eater er Toront
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New member of the Employer Services team
▪ Dipak Patel ▪ Joined on October 15 ▪ Pension Analyst with Employer Services
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CONFIDENTIAL
2020 DCT schedule
2020 DCT schedule
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January 21 - 23 January 24 March 16 June 30 2020
2020 Rates
2020 Rates
▪ YMPE: $58,700 ▪ Plan contribution rates – no changes for 2020
▪ If your members participate in DBplus only, refer to your Participation Agreement for your applicable 2020 rate.
▪ 2020 Inflation protection rate: 1.47% ▪ AIW increase: 2.25%
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2020 Rates – DBprime maximums
▪ DBprime RCA earnings threshold: $175,156 ▪ Maximum PA: $27,230 ▪ Maximum BE: $3,092.22
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2020 Rates - DBplus maximums
▪ Money Purchase maximum (used to determine maximum DBplus contributions): $27,830 ▪ Total DBplus contributions:
▪ Member: $13,915 ▪ Employer: $13,915 ▪ Combined: $27,830
▪ Maximum DBplus earnings: $154,611
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Employer attestation
Employer attestation
▪ Plan requires employers to attest in writing annually that they complied with core areas of responsibility ▪ Common best practice for risk management among multi-employer pension plans and JSPPs
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Employer attestation
▪ Attestation will be sent in January ▪ 2019 training record will be attached to support your organization’s attestation ▪ To be returned by March 31, 2020
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2019 Member and Employer Surveys
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Member Survey Highlights
▪ Members trust in the Plan
▪ Top-2 scores very high (strongly agree and agree) – 81% for Actives and 92% for Retirees
▪ Members are aligned with Plan’s focus
▪ Members overwhelmingly agree with areas of focus:
▪ 94% Benefit Security ▪ 94% Value ▪ 82% Equity
▪ Members have an understanding of and support the Plan’s growth strategy
▪ Among those with an opinion, 92% said they understand growth and 98% support growth
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New quest stions ions
Employer Survey highlights
▪ Employers trust in the Plan
▪ Employer trust in Plan is unanimous at 100% ▪ 94% believe the Plan is sustainable
▪ Employers are aligned with Plan’s focus
▪ Employers agree with all five areas of focus, with strongest endorsement for:
▪ Benefit Security 98% ▪ Value for Members 91%
▪ Employers are aligned with Plan’s growth strategy
▪ 90% understand advantages of growth ▪ 86% support growth
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New quest stions ions
Member Surveys
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Active member perception of value rising
23% increase in top-2 scores (good and excellent value) over 2018 Increase is due to significant shift from neutral to positive viewpoint Reasons for increase:
▪ Introduction of DBplus resonates
with OTRFT
▪ Possibly greater awareness of risk
aversion that a JSPP brings (increased media coverage on this topic)
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Active e memb mber ers
DBplus has increased views of value among part-time members
29% increase in top-2 scores (good and excellent value) over 2018 Increase is due to significant decrease in both
neutral viewpoints vs 2018 ▪ Little value 29% 29% ▪ Reasonable value 17% Implications: ▪ DBplus is a valuable pension
members
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DBplus lus memb mber ers
Perceptions of value also increased for DBprime members
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The increase in excellent and good value ratings by members
and exceeds increase for part- time members. Appears that awareness campaign on transition to DBplus had a ripple effect in strengthening awareness of CAAT’s value proposition for our DBprime members.
DBprim rime e membe bers
Pension knowledge = Higher Value
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I attended an information session and my understanding came from that session. I developed a favourable opinion of the CAAT Pension plan at the session.
Active member survey respondent
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Retired members continue to rate value highly
Top 2 ratings (good and excellent value) are steady and strong
▪ (Increases are within margin of error)
Receiving is believing
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Retired etired memb mber ers
Employer Survey
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How employer CFOs and CHROs rate value of Plan compared to cost
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Employers value Plan ▪ for attraction, retention, and workforce management
Plan’s service to employers remains strong
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Legend shows new wording per category, followed by prior wording.
Emplo ployer ers
Not an
2019
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Legend shows new wording per category, followed by prior wording.
Employer’s view on service to members also strong
Not an
2019
Emplo ployer ers
1 Employer and member portals
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Ranking of employer portal features that would most help employers streamline pension administration
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Ranking of member portal features that you feel would be most useful to members
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Summary
▪ Key findings from the 2019 surveys
▪ Value proposition to members increased strongly across both full-time and part-time active members, and remains strong for retired members ▪ DBplus has had a positive impact on perceptions of value by part-time employees ▪ Employer views of service continue to be strong ▪ Understanding of the Plan drives perceived value
▪ Member presentations and one-on-one conversations have best results
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CONFIDENTIAL
Revised Pension Benefit Application forms
Changes to Pension Application form
▪ Member signature no longer required on the form
▪ Section tion G G will be removed from both the smart form and PDF versions ▪ In the meantime, you can submit the current version of the form with no member signature until the revised forms are available.
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Year-end Processing Deadlines
Year-end processing deadline – Dec ecem ember ber 2
▪ Member documents for January 1 retirements:
▪ December 31 retirement applications should be with the Plan now ▪ Members must complete and return their Option Documents
▪ Purchase payment deadline:
▪ Ensure purchases are processed and reflected on the 2019 annual statements ▪ Outstanding payments must be submitted
▪ In-year reporting deadline:
▪ In-year leave start and stop forms, and change of information forms ▪ To have the data updated in our pension administration system to feed back to employers on the DCT
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2020 Employer Training Schedules
Employer Training for 2020
▪ 2020 Employer Training schedule will be on the website in December ▪ New for 2020—3 DCT training sessions:
▪ DCT Refresher for DBprime and DBplus ▪ Full DCT Training for DBprime and DBplus ▪ Full DCT training for DBplus-only employers
▪ Quarterly Employer Updates scheduled for February, April, July and November ▪ No Employer Education sessions in February or March
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Upcoming events
Upcoming events
▪ Holiday office closures
▪ December 13 – closed at noon ▪ December 24 – closed at 1 pm ▪ December 25 – January 1; office re-opens January 2, 2020
▪ Employer Attestation
▪ January 13 to 17 to Presidents/CEOs ▪ Due on March 31, 2020
▪ Employer education session
▪ January 21 to 23 – DCT training sessions
▪ Employer update
▪ February 25, 2020
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CONFIDENTIAL
Service standards
CONFIDENTIAL
Service standards – Q3 2019
Process Volume Target turnaround Attainment Average turnaround
Retirements
303 30 days 99% 9 days
New pension starts
223 5 days 99% 1 day
Deaths
110 30 days 99% 10 days
Service purchase quotes
190 30 days 99% 12 days
Pension estimates
357 10 days 100% 2 days
Terminations
364 30 days 100% 37 days
Enrolments
1,330 10 days 100% 1 day
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